Review of repayments due to hardship

If a client advises that they are experiencing hardship, you can consider reducing their current debt repayments.

Each case must be considered on its own merits.

1. Find out what is causing the hardship and consider ways that this could be addressed.

2. Check that the client is receiving their full and correct entitlement to benefits (including any extra help and family tax credit) and rate of benefit. For more information see:

• Family tax credit

3. In deciding whether to reduce the client's debt repayments, you should consider the following factors (where relevant):

• the circumstances of the client and their dependents
• the ability of the client to meet their needs and the needs of their dependents
• the amount of the debt - we want clients to pay off their debts as fast as they can, but need to always bear in mind the circumstances of the client and their ability to repay without placing them in undue hardship. If the debt is large you should consider a higher repayment rate if the client can afford it
• the effect the rate of recovery will have on the client's ability to support themselves
• whether the rate of recovery would cause undue hardship to the client or their dependents
• the effect the rate of recovery would have on the client's ability to fulfil their work and social obligations - eg ensuring their child is enrolled with a General Practitioner or enrolled with a medical practice that is part of a Primary Health Organisation if required to do so

If the client does not agree with the rate of repayment you must record why you decided to set it at that rate.

You can review this arrangement at any time when the client's circumstances change.

For more information see:

• Jobseeker Support Priority for deductions